Well, after years of speculation Thorn EMI has finally sold off its software division. Staff and management have paid UKP82m for the UKP117m turnover division, which will trade as a separate company from August 1 under the name Data Sciences. In 1990, the division contributed pre-tax profits of UKP6.2m to Thorn’s figures. Mike Smith, president and chief executive of the division, who led the buyout, believes that as a separate company Data Sciences will be able to respond more quickly to the changing demands of the European software market. Thorn EMI will retain a 20% stake in the operation. The buyout is being underwritten by venture capitalist CINVen. Data Sciences intends to use its new, independent status to spearhead a drive onto the continent from countries such as the Netherlands where it already has a strong presence. Data Sciences will pay Thorn EMI UKP50m in cash and the assumption of borrowing obligations and a further UKP32m via a zero coupon loan note to mature in four years. Data Sciences’ main activities are systems integration and facilities management as well as application products and kernels to facilitate these businesses. Approximately 33% of the company’s revenue comes from defence and aerospace, 25% from manufacturing, 21% from retail and 15% from finance. Employing 1,950 people, Data Sciences has six divisions: defence and scientific, data centre services – the facilities management business, finance and business systems, Data Sciences Germany and also Data Sciences Netherlands.
